Key Takeaways
- On February 26, 2025, the US terminated over 10,000 global aid grants, severely impacting refugees and asylum seekers in South Africa.
- The Scalabrini Centre in Cape Town lost 40% of funding, reducing its services like legal support, language training, and job placement.
- South Africa faces increased pressure on public services as refugee aid programs risk closure, heightening hunger, exploitation, and integration challenges.
The decision by the United States to cut funding for civil society organizations aiding refugees and asylum seekers has created a humanitarian crisis in South Africa 🇿🇦. With many organizations heavily dependent on US support, the ripple effects of this funding withdrawal are being felt deeply by vulnerable individuals who are struggling to access basic services.
On February 26, 2025, the US Department of State began ending thousands of foreign aid grants and contracts. This widespread termination of funding has debilitated global humanitarian efforts, including in South Africa, where American donations previously bolstered critical services for both refugees and asylum seekers. The impact, as of March 13, 2025, is already placing immense pressure on the system, leaving some people without access to needs as basic as food and safe shelter.
Devastating Effects on South African Organizations
The Scalabrini Centre, a well-known Cape Town NGO (non-governmental organization) committed to supporting refugees, has been hard-hit. Forty percent of its funding has vanished following the US Bureau of Population, Refugees, and Migration’s withdrawal of financial aid. This dramatic drop has forced the organization to reduce its programs, including those offering legal assistance, language training, and job placement. These programs are often lifelines for individuals working to establish a new life in a foreign country.
Miranda Madikane, director of the Scalabrini Centre, did not sugarcoat the grim reality. “The sudden termination of funding has left us scrambling to maintain even basic services,” she said. “We’re seeing an increasing number of asylum seekers unable to access legal support, language classes, and job assistance. This is not how we wanted to live—it’s a crisis situation.”
Her sentiment encapsulates both the operational struggles of organizations and the personal pain many asylum seekers now face. Without language lessons or job placement programs, refugees and asylum seekers are left without the basic resources to contribute to their new communities or secure stable livelihoods.
A Global Trend Amplifying Local Challenges
The US cuts are part of a widespread reduction in international aid. As of February 28, 2025, at least 10,000 US-funded grants and contracts have been canceled worldwide, according to the International Rescue Committee (IRC). These programs were categorized as “life-saving activities” in many instances. In South Africa 🇿🇦, this meant reliable access to services like healthcare, food, and legal help—many of which are now severely reduced or altogether unavailable.
One asylum seeker described the sense of abandonment they feel. Choosing to remain anonymous, they shared: “I came to South Africa fleeing persecution, hoping to build a new life. Now, with these funding cuts, I don’t know how I’ll manage. The organization that was helping me with my asylum application and providing food has had to close its doors. It feels like we’re being abandoned.”
The timing of these cuts could not be worse. Globally, forced displacement is at record-high levels. The UNHCR (United Nations High Commissioner for Refugees) reported 122.6 million forcibly displaced people by the close of 2024, with 37.9 million classified as refugees. South Africa, a destination for many seeking refuge from persecution and violence across Africa, has been left overwhelmed.
Yet the issue is bigger than just the United States. Other donor countries like the United Kingdom 🇬🇧 have similarly reduced contributions. The UK, for instance, cut US$900 million in foreign aid, opting to redirect resources to managing asylum seekers within its own borders. The compounded effect of these funding slashes is devastating, further straining a South African government already grappling with significant unemployment and an overstretched public service sector.
Programs in Jeopardy
Several programs critical to refugee self-reliance are in jeopardy. Services supporting early integration by way of skills training and entrepreneurship are among the hardest hit. Without such programs, asylum seekers and refugees are left with few opportunities for long-term stability, placing even more stress on local systems. One of the most vulnerable groups affected is the children of refugees. Reduced resources for education and child protection open the door to increased dropouts and unsafe child labor practices.
Dr. Loren B. Landau, an expert in migration based at the University of the Witwatersrand, called the cuts “a significant setback for refugee rights and integration in South Africa.” He pointed out how such severe losses would lead to increased vulnerability among asylum seekers, risking their exploitation and potentially creating tensions between refugee communities and the broader population. Landau also emphasized the risks to public health services, warning of widespread consequences.
Emergency Responses and Limited Solutions
As funds dwindle, civil society organizations like the Scalabrini Centre have turned to emergency fundraising campaigns as a stopgap measure. Other smaller NGOs have joined forces in seeking new financial backers. However, filling the gap left by the withdrawal of US aid is an uphill battle, and experts suggest that many programs may shut down entirely.
Thus far, the South African government has not announced specific plans to offset the loss of international aid. This has sparked concern over how the country intends to meet its obligations under international law to protect refugees within its borders. While South Africa is a signatory to the 1951 Refugee Convention—legally binding it to protect those fleeing persecution—the financial strain on both governmental and non-governmental organizations threatens to undermine those commitments.
These problems are not unique to South Africa 🇿🇦. Across the globe, the sudden withdrawal of US funding is forcing NGOs to wind down services, even in areas with enormous humanitarian need. As reported by VisaVerge.com, this disruption undermines years of efforts meant to stabilize vulnerable communities and help refugees integrate.
The Cost of Shielding the Vulnerable
The human toll of the US funding cuts is undeniable. As of March 2025, South Africa is witnessing alarming increases in hardship among asylum seekers. Hunger, lack of shelter, and limited access to legal representation are becoming more common. Families who would otherwise have relied on support systems to help rebuild their lives now find themselves at a standstill.
The loss of legal assistance, in particular, leaves refugees vulnerable to unlawful detentions and exploitation, compounding the hardships they already face. Meanwhile, with no systems in place to ensure children receive ongoing education, young asylum seekers risk being pulled out of school to support their struggling families.
This problem is not just about morality; without proactive measures to assist refugees, integration challenges could eventually lead to tensions in communities as resources grow more limited. South Africa’s 🇿🇦 role as a key destination for those fleeing violence and economic deprivation is now complicated by this lack of adequate funding or planning.
What Comes Next?
With the gap in funding unlikely to be filled overnight, there are calls for global coordination to address the gaps left by the US withdrawal. Humanitarian organizations argue that wealthier donor states, particularly those less affected by the global migration crisis, have a moral obligation to step up.
Time remains a critical factor. Each delay in adequately funding important programs risks not only worsening the current refugee crisis but also reversing years of progress toward helping new arrivals settle into productive and stable lives. The loss of these services takes its heaviest toll on the least resilient populations—those who fled their homelands due to fear and violence, and now face a sense of hopelessness after arriving in a promised land of safety.
Final Thoughts and Need for Global Action
The disappearance of US aid has left South African organizations like the Scalabrini Centre scrambling to sustain operations. This situation is emblematic of broader challenges refugee-serving societies face globally, made worse by short-sighted foreign policy decisions.
As the world comes to grips with evolving geopolitical realities, the question is not whether refugees need international aid—they undoubtedly do—but whether the global community remains committed to ensuring a minimum level of safety and dignity for those who need it most.
To learn more about international protections for asylum seekers and the obligations of states under refugee law, you can visit the UNHCR’s official site here.
Learn Today
Asylum Seeker → A person seeking protection in a foreign country after fleeing persecution or danger in their homeland.
Refugee → Someone granted protection under international law after fleeing war, violence, or persecution in their home country.
NGO (Non-Governmental Organization) → A nonprofit group independent from governmental control, often focused on humanitarian or social services.
1951 Refugee Convention → An international treaty defining refugees’ rights and signatory states’ legal obligations to protect them.
Integration → The process of refugees adapting and contributing to a new community, often supported through services like education and jobs.
This Article in a Nutshell
Funding cuts to refugee aid by the U.S. have sparked a humanitarian crisis in South Africa. Vital services for asylum seekers—like education, legal help, and shelter—are vanishing, leaving vulnerable individuals unsupported. As global donor support dwindles, refugees face growing hardships, emphasizing the urgency for renewed international commitment to protect human dignity.
— By VisaVerge.com
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